Remortgage, charging order and sold on debt

[Abuck]

I have posted this elsewhere but have had no responses so I'm thinking I posted in the wrong place? Please please please can someone acknowledge my existence and let me know you are seeing these posts?

We are currently with Birmingham Midshires on an interest-only mortgage. Its due to end and we don't have the money to pay to off. Birmingham Midshires no longer do domestic mortgages so we cannot stay with them. We're trying to pay off some charging orders against the mortgage as it seems no mortgage company will touch us with those in place. Additionally, some to the debt has been sold on and so the name of the creditor on the Land Registry is now wrong for example I have spoken to Lloyds and they said they have nothing to do with it any more. If we pay the company that now has the debt they cannot inform land registry and have the debt discharged. What on earth are we going to do We are running out of time and will lose the house we share with our three children. Who can I ask for advice? The local CAB didn't know!

[Abuck]

Anyone?

[Brainmelt]

You could consider visiting your local authority housing options team. Ask if they will refer your case to NHAS who have a team that specialise in mortgage issues and can advocate on your behalf. I don't think you can self refer which is why i suggest via the housing options team. NHAS advice is free, and they know their stuff. There maybe more options available to you thank you think.

In the meantime you may want to google NHAS, just to see what they are about.

Also, have mortgage brokers not been able to help?

[Abuck]

Our mortgage broker just seems to say 'oh dear' quite a bit and has asked if we have any family members who can help out (we don't). I've looked at NHAS and am waiting to hear from the council but we are not a priority. We are seriously considering selling up, paying off the debts and renting. The stress is making me really ill and I'm thinking it's not worth it. We could afford to rent somewhere really nice (nicer than where we live now for sure). But I am 46 and my husband is 51 so we probably won't get back on the property ladder. We would potentially have some equity we could put away for a pension instead. What we really need is expert advice and I can't find any. I spoke to a debt charity too and they didn't know either. We can't be the only people in the UK in this position surely?

[Amethyst]

Seems like first thing to sort out is the charging orders so that you could have a better chance of getting a replacement mortgage at the end of the term. There are things like Lifetime mortgages now for people in your situations - they aren't ideal and the bank eventually would likely take the house unless you managed to pay it off entirely so unlikely to have it to pass to your children, but it would mean keeping the house - you would need to consider carefully and get proper advice. I'm suprised CAB and your mortgage broker haven't been able to advise you at all in your situation - there's many many people coming to the end of term on interest only mortgages in similar positions.

So what are the charging orders for? CCJ's or for secured loans? If the debts the charging orders are for have been sold on then presumably they have been defaulted ? Do you know the status of all of those debts? If you have a list of the original charges, what they were for, and who they have been sold on to ( and why - default or original lender going out of business etc ) you can start looking at removal. Are they full charges or restrictions?
Also if you apply to remove the charge order, the land registry checks with the holder of the charge, and if they reply saying they have no interest in it, then it should be removed. But lets see what they are, how much etc.

You're on interest only with BM ( so Halifax in essence ) .... when did you take out the mortgage and was it always interest only? were repayment vehicles in place at the beginning ? or did you switch from capital repayment over to interest only when/if things got tight financially?

A SAR to BM might be a sensible move to get all the original application details - it would have been through a broker and there COULD have been misselling if you weren't advised about repayment of the capital etc. Any PPI as well ?